Iskandar Now Has More To Offer

Source : TODAY, Thursday, October 11, 2007

PUTRAJAYA — A detailed package of incentives has been offered to a wider range of investors in the Iskandar Development Region’s (IDR) first integrated city development, known as Node 1.


















Zone A - JB City Centre
Zone B - Nusajaya
Zone C - Western Gate Development
Zone D - Eastern Gate Development
Zone E - Senai - Skudai

Map Soure : http://www.idr.com.my

The follow-up to earlier incentives announced on March 22 has been extended to approved developers and development managers.

They were originally intended for Iskandar-status companies.

The Iskandar Regional Development Authority (IRDA) yesterday announced the latest incentive and support package — introduced to kickstart early investment into the region. It includes tax exemptions on income from the sale of land and rental, as well as exemptions on withholding taxes.

Dispelling recent reports that the IDR was only keen on attracting foreign investment, Malaysian Prime Minister Abdullah Ahmad Badawi told reporters after a briefing yesterday: “It is not true that we are not keen on local investors. The corridor is not only for foreign investors. We hope they (local investors) will participate in the development plan of the IDR.”

Mr Abdullah said local investors would also enjoy incentives like the 10-year income tax exemption for certain qualifying activities, if they met the set criteria.

“We are also willing to customise incentives packages for the investors and allow them free access to human capital,” he added.

Mr Abdullah said a total of RM40 billion ($17.3 billion) is needed over the next five years to fully develop the IDR. To date, the region has attracted RM4.1 billion worth of investments. The plans for Node 1 are going well and by early next year some projects could be implemented, he said. — AGENCIES


INVESTOR INCENTIVES
Under the fiscal and non-fiscal incentives, approved developers will enjoy:

• Income tax exemption up to 2015 on income from disposal of any right in or over land within the approved node;
• Income tax exemption up to 2020 on income from rental or sale of buildings within the node; and
• Tax exemption on payments made to non-residents for services, interest and royalties up to Dec 31, 2015.